Potential S&P 500 Peak

There exists some possibility that the market topped earlier today as a ending diagonal within an ending diagonal. I had expected this move to continue to roughly 1450 under this count but with the large daily reversal candle potentially signal immediate weakness I decided to share this chart.

EURGBP Bottom in place?

EURGBP appears to be creating a double bottom with it's mid-2010 low. I believe this level will serve as a launching point for a move which should exceed .908. This presents an excellent risk-reward ratio for this trade. If this chart is correct, it may make more sense to short GBPUSD instead of this pair as I expect EURUSD to remain weak for over the next few years.

EURUSD - Heading higher?

The EURUSD's current set-up either a fairly medium term bullish or imminently long term bearish. The line in the sand between these two outcomes is the low of Wave B Blue. I still believe that the Euro has further to run toward the upside as it tends to top after the stock market at significant turns, but it could certainly head in either direction. If it does breakdown, it would project a measured move to at least 1.25. Either case offers significant trading potential.

AUDUSD Critical Juncture

AUDUSD remains at a decision point. It can either breakdown to new lows or begin a final impulse higher. This secondary support must not be breached significantly in order for this count to remain valid. Either way this breaks, I expect to see large moves.

GBPJPY D Wave Complete

There appears to be at least one three wave move lower in the GBPJPY before higher levels are seen. Usually a third test of a significant level of resistance gives way. However in this case, as Wave C Green did not register new lows, it is likely that the current thrust will not make new highs yet. With the invalidation point nearby, a short from current levels seems justified.

AUDUSD to rally past 1.085

AUDUSD appears set to rally higher in a final impulse in order to complete the larger degree correction from .9386. I would expect this to complete as a double top between 1.095 and 1.105 in order to create the relationships Wave 5 Green = 61.8% of Wave 3 Green and Wave C Red = Wave A Red, respectively. A more significant break below the trendline drawn (which connects the origins of Wave A Red and Wave C Red) would make this wave count extremely unlikely.

GBPJPY decline ahead?

GBPJPY appears to have completed either a Wave 3 Green impulse or a Wave C Green correction. In either case, the short term view appears to indicate lower prices. If prices breach the Wave 1/A high, it is likely that new lows will be made eventually.